Foreign Tax Credit Question

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Foreign Tax Credit Question

Post by TaxGuruz »

Hey there- doing the 2021 US Tax return (US Citizen), but resident of Australia.

Australian year end is Jul 2020—30 Jun 2021

US is January 1, 2021 - December 2021.

When doing the US return, I presume I have to manually calculate the income on the calendar year basis (based on Paystubs etc).

But how does one calculate the foreign tax credit when they have different tax years? Do we do some kind of prorated calculation?
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